I have no idea what is going on here, but out of all these confusing threads I trust nhodges the post by post history.
What is going on here?! Sorry for being that guy who disrupts a good thread by not reading anything, but I swear I tried but all the threads look confusing and I believe there is money to be made and lost here.
There's definitely money to made and lost in these types of games. What it equates down to is a "free ride" betting game, where users rush to place their bets in at the beginning of a round to increase their chances of being paid out sooner. Different versions of these games have different rules and odds that make it more or less appealing to winners or losers, respectively.
In this game, people paid out receive 1.2x their initial deposit, and losers split the pot with the operator (me) when the game ends. Losers evenly split 88% of the remainder pot and I get a 12% cut.
I hope that explained it a little better for you!